Finding long-term value in the stock plunge

Trader looking at information on monitor
Getty Images

The market sell-off has lowered valuations for a group of stocks, posing potential buying opportunities for investors with a long-term perspective, market watchers believe.

"If you look at the market on a company-by-company basis, there are lots of wonderful businesses at 10 or 11 times earnings," value investor David Katz told CNBC . "We'd be pretty aggressively buying into this weakness."

So far in 2016, the S&P 500 is down 8 percent, on track for its worst monthly performance in seven years as investors assess the consequences of the collapse in energy prices and lower economic growth from China.

Indeed, big tech and those companies with exposure to China and oil have been hit the hardest.

The rapid capitulation this year, however, has led many investors to consider if it's time to apply the "buy low, sell high" proverb.

Read MorePro Uncut: The full interview with Jamie Dimon

With data from FactSet, CNBC Pro searched for large-cap S&P companies with low P/E multiples in relation to the historical five-year average, solid balance sheets and dividend yields of at least 2 percent. Among those names, we then looked for the ones with "buy" ratings from Wall Street analysts.

model portfolios
  • halftime
  • squawk box

Contact Investing

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    Please choose a subscription

    Please enter a valid email address
    Get these newsletters delivered to your inbox, and more info about about our products and service. Privacy Policy.